SNBR stock: buy or sell?

SNBR stock price: $42.26 -4.50% At close on August 23rd, 2019

Updated on:
August 23rd, 2019

2

Sleep Number shares plummed -4.50% to $42.26 today.

Sleep Number Corporation, together with its subsidiaries, provides sleep solutions and services in the United States. It designs, manufactures, markets, retails, and services beds and bedding accessories, such as mattresses, adjustable bases, pillows, sheets, and other bedding products under the Sleep Number and FlextFit brands.

Should I buy SNBR stock?

Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. That's why is so important to choose your own trading strategy that matches with your character as inversor. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.

Currently, Sleep Number stock doesn't match any of these trading strategies, so our recommendation is not to buy.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This is not a selling recommendation at all, just it's not the best moment to buy if you follow any of these trading strategies.

Is Sleep Number stock a buy?

Everyday, hundreds of stock ratings are posted by financial analysts to indicate a particular stock's attractiveness. At Stocks2.com, we gathered 6 ratings published for SNBR stock in the last month.

Is SNBR a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-7-26SunTrust BanksAverageHold
2019-4-18Barclaysn/aEqual Weight
2019-2-15Barclaysn/aHold
2019-2-14SunTrust Banksn/aHold
2019-2-14Piper Jaffray Companiesn/aNeutral
2019-1-28Barclaysn/aEqual Weight

SNBR stock analysis

Daily outlook

Sleep Number plummed a dreadful -4.50% and closed at $42.26.

Sleep Number shares plummed -4.50% to $42.26 today. On June SNBR price bounced up over the SMA of 200 days demonstrating to be a significant support for this stock. Since SMA50d and SMA100d crossed up on August/8, SNBR price slid a -4.45%. On July 29th, SNBR hit new all time highs, pushing higher previous ATH of $49.89 recorded on July/26. New ATHs are usual entry points for many trading setups as there aren't higher resistences.

SNBR stock chart (daily)

Weekly outlook

Sleep Number closed this week at $42.26 and collapsed a terrifying -4.88%. Late July SNBR climbed an astounding 18.77% in just one week.

Sleep Number stock is trading in the range of its last top and last bottom. Loosing would mean breaking the current uptrend. Breakdowns under last bottom are selling point signals for some trading strategies. Not so far away is the last price record Sleep Number marked late July, but since then it dropped a 18.86%. Since mid June when SNBR stock price broke up the SMA40w line, it gained $4.79 (12.78%). Since SMA20d and SMA40w crossed up late October 2018, SNBR price climbed $8.23 per share (24.18%).

SNBR stock chart (weekly)

SNBR stock price history

SNBR stock went public on December 4th, 1998 with a price of $13.331. Since then, SNBR stock grew a 217.00%, with an average of 10.90% per year. If you had invested right after SNBR's IPO a $1,000 in SNBR stock in 1998, it would worth $2,170.00 today.

1: Adjusted price after possible price splits or reverse-splits.

SNBR stock historical price chart

SNBR stock reached all-time highs on July/29 with a price of $52.08.

SNBR stock price target is $39.00

How much a stock will be priced tomorrow or next week is quite unpredictable However, financial institutions invest time and resources to provide the most accurated estimations to help investors to make their decisions. You should not follow the analysts' SNBR stock price predictions in the hope that they will be met as they may be wrong and not met. For the last 30 days we found 5 price targets for SNBR stock:
SNBR stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-7-26SunTrust BanksRaises Targetn/a$43.00-
2019-4-18BarclaysRaises Target$36.00$38.005.6%
2019-2-14SunTrust BanksRaises Targetn/a$35.00-
2019-2-14Piper Jaffray CompaniesRaises Targetn/a$43.00-
2019-1-28BarclaysInitiatesn/a$36.00-
(in average)$36.00$39.008.0%
The price prediction for Sleep Number stock is $39.00, moving in a range between $43.00 and $35.00. In average, analysts' outlook on SNBR price target is positive, increasing the forecast by a 8.00% from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

Sleep Number reported excellent results for 2018-Q4 on February. Sleep Number escalated Earnings per Share (EPS) by 12.50%, beating experts of $0.72. Sleep Number posted $0.81.
SNBR earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q2-n/a-0.02n/a
2017-Q3-n/a0.62n/a
2017-Q42018-02-150.190.3373.7%
2018-Q12018-04-180.560.52-7.1%
2018-Q22018-07-25n/a0.02n/a
2018-Q32018-10-240.70.52-25.7%
2018-Q42019-02-130.720.8112.5%
2019-Q1-n/an/an/a
2019-Q2-n/an/an/a
2019-Q3-n/an/an/a

Annual financial results

Compared to 2017, last anual sales report draw a remarkable gain of 6.03% to $1,531.57 million dollars. When comparing 2018 vs 2017, nevertheless, profit margin (that is, the net income divided by revenues) stayed stable a 0.04% to 4.54%.

SNBR annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$960 M-$60 M6.3%-
2014$1,157 M20.47%$68 M5.9%13.14%
2015$1,214 M4.92%$51 M4.2%-25.68%
2016$1,311 M8.04%$51 M3.9%1.78%
2017$1,445 M10.16%$65 M4.5%26.57%
2018$1,532 M6.03%$70 M4.5%6.86%

Quarterly financial results

Sleep Number reported $411.83 million in sales for 2018-Q4, a -0.71% decline compared to previous quarter. Reported quarter income marked $26.99 million with a profit margin of 6.55%. Profit margin inched a 2.15% compared to previous quarter when profit margin was 4.40%. When comparing turnover to same quarter last year, Sleep Number sales marked an exceptional growth and rocketed a 13.36%.
SNBR quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q2$285 M-$-1 M-0.3%-
2017-Q3$403 M41.44%$26 M6.4%-3,390.49%
2017-Q4$363 M-9.78%$16 M4.3%-38.32%
2018-Q1$389 M6.98%$21 M5.3%30.12%
2018-Q2$316 M-18.60%$4 M1.2%-81.78%
2018-Q3$415 M31.12%$18 M4.4%387.63%
2018-Q4$412 M-0.71%$27 M6.6%47.83%
2019-Q1$426 M3.55%$25 M6.0%-5.82%

Sleep Number ownership

When you are planning to invest in shares of a company, it's always worth to overview its ownership structure.

Sleep Number shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 2.93% of all shares.

Bearish positions for SNBR stock account 0.00%, no big difference from last month.

For a better context understanding, the next table shows ownership data compared to other related companies:

SNBRETHFLXSHOFTHVT
Market cap$1.3 B$481.6 M$118.2 M$225.5 M$371.7 M
Total shares30.1 M26.6 M7.9 M11.8 M18.8 M
Float shares28.4 M24.6 M7.4 M11.5 M17.3 M
  - Institutional holdings (%)115.5%91.6%63.6%87.3%93.4%
  - Insider holdings (%)2.9%9.1%5.2%2.5%3.0%
Shares in short selling0.0%0.0%0.0%0.0%0.0%

SNBR summary

Friday, August 23rd, 2019
Open$43.38
Close$42.26
Day range$42.11 - $44.21
Previous close$44.25
Session gain-4.50%
Average true range$1.54
50d mov avg$42.38
100d mov avg$40.34
200d mov avg$39.59
Daily pattern
Weekly pattern lt06a

Sleep Number performance

To better understand Sleep Number performance you must compare its gains with other related stocks in same sector or industry. We picked Ethan Allen Interiors, Flexsteel Industries, Hooker Furniture, Haverty Furniture Companies, Leggett & Platt, La-Z-Boy, Nova Lifestyle, and Tempur Sealy International as the bechmarking frame for Sleep Number stock.
Stock3m6m12m
SNBRSleep Number23.64%-3.12%29.75%
ETHEthan Allen Inter...-16.65%-6.21%-17.60%
FLXSFlexsteel Industr...-14.89%-39.77%-57.50%
HOFTHooker Furniture-30.26%-38.27%-59.22%
HVTHaverty Furniture...12.21%-13.49%-9.23%
LEGLeggett & Platt6.20%-13.16%-10.14%
LZBLa-Z-Boy-2.17%-11.51%-3.79%
NVFYNova Lifestyle-2.86%-19.05%-63.24%
RH59.57%-3.10%-9.11%
TPXTempur Sealy Inte...22.61%34.46%36.12%

Sleep Number competitors

One check before trading any stock is to review a list of its competitors, in this case for Sleep Number. We picked 9 companies as Sleep Number competitors as they are in the same industry or have similar market objectives.